Tuesday AM January 25th, 2011

A new report by global outplacement firm Challenger, Gray & Christmas shows that job cuts in the technology sector last year hit their lowest level in ten years. KUHF business reporter Andrew Schneider looks behind the numbers.
circuit boardThe study says technology firms announced roughly 47,000 job cuts in 2010, down 73% from the year before. CEO John Challenger says that’s a positive indicator for broader economic growth.

“Companies are sitting on lots of cash, and so they’re investing back in themselves, investing back in technology that they avoided during the recession, and that’s meant for tech companies better times and for tech workers a growing number of jobs.”

Challenger cautions that while hiring in the tech sector is improving, job candidates will continue to face stiff competition.

“There are still many tech workers who lost their jobs during the recession, who are fighting their way back into the job market. As the economy improves, so will the employment prospects, but it’s not going to happen overnight.”

According to the study, the electronics industry saw the sharpest drop in job cuts, followed by computer firms and telecommunications companies.
Bio photo of Andrew Schneider

Andrew Schneider

Business Reporter

Andrew Schneider joined KUHF in January 2011, after more than a decade as a print reporter for The Kiplinger Letter...